Introduction

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Our Team

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Introduction

According to a recent report from the IMARC Group - a leading market research firm - The global frozen pizza market size reached US $ 17.6 Billion in 2023, with an expected growth rate of 5.4% by a year until 2032. This year-to-year growth presents an opportunity to capitalize on a rapidly expanding market. We believe that different age groups buy frozen pizza in various ways. In this report, we will determine obvious and some not-so-obvious relationships between the buyer’s age and frozen pizza sales.

We will use the Regork customers’ data to see how different age groups interact with a product like Frozen pizza, like what day of the week they purchase it, what kinds of frozen pizza specifically different age groups purchase, and what else they purchase frozen pizza with. With this understanding we will be better able to target various demographics with marketing campaigns, enhancing growth in the product and providing a lucrative opportunity for Regork in the process.

Key Areas of Investigation

  1. Overall sales trends of frozen pizzas
  2. Weekly and yearly sales patterns
  3. Demographic analysis of frozen pizza consumers by age
  4. Other Products Purchased with frozen pizza

By exploring these areas, we aim to uncover insights that will guide Regork in allocating resources effectively and implementing targeted strategies to boost frozen pizza sales.

Packages/Libraries Used

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Packages/Libaries Used

  • library(completejourney)This packagge includes the different data sets used in this report
  • library(ggplot2)For plotting different plots to visualize the data
  • library(DT)For creating interactive tables using DataTables library
  • library(tidyverse)For manipulation and transformation of data, as well as plotting. Sub-packages used include dplyr, ggplot2, scales, and lubridate
  • library(plotly)For additional plotting tools
  • library(flexdashboard)Used for creating interactive dashboards

Data Overview

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Data Tables Used

The completejourney package in R is comprised of eight different data sets but we will be using three data sets which are as follows:

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Transactions

This data set includes the transactional record of the 2,469 households at the grocery store over one year.

transactions <- get_transactions()
datatable(head(transactions, 100), options = list(pageLength = 10))

Products

This data set includes details of the products purchased and their descriptions.

datatable(head(products, 100), options = list(pageLength = 10))

Demographics

This data set provides us with the demographic information of the households involved in transactions which includes size of household, income range, age, etc.

datatable(head(demographics, 100), options = list(pageLength = 10))

Strategic Recommendations

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a. Increasing Frozen Pizza Sales on Weekdays

The main challenge is boosting sales of frozen pizza during the weekdays, which currently see much lower sales compared to weekends. Most age groups go grocery shopping primarily on the weekends. The only exception to this is the 19-24 demographic which appears to purchase more uniformly throughout the week.

i. Targeted Weekday Coupons

We can see patterns on the different days the Coupons were redeemed and adjust the promotions to be more attractive for weekday shoppers.

For example, most number of coupons were redeemed on Saturdays and Sundays. So we can increase sales by tracking coupon usage patterns and adjusting the promotions to be more attractive for weekday shoppers.

A personalized digital coupon campaign may be devised. For example, offer Buy One, Get One Free or 20% off Frozen Pizza for purchases made between Monday and Wednesday

coupon_redemptions %>%
  mutate(day_of_week_coupons = wday(redemption_date, week_start = 1, label=TRUE)) %>%
  group_by(day_of_week_coupons) %>%
  summarise( total_coupons= n()) %>%
  ggplot(aes(x=day_of_week_coupons, y=total_coupons))+
  geom_col(fill = I("dodgerblue2")) +
  labs( title = "Number of Coupons Redeemed During the Week",
        x= "Day of Week",
        y= "Number of Coupons Redeemed")

ii. Cross-Promotions with Complementary Products:

We identified the most commonly purchased products alongside frozen pizza (e.g., soft drinks, frozen meat, or snacks). Based on this, bundled deals may be designed such as “Pizza + Soft Drink Combo” or “Frozen Pizza Family Meal Deal” that offer discounts when these complementary items are purchased together.

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b. Increasing Frozen Pizza Sales for the 19-24 Age Group

Young adults, particularly university students and young professionals, represent a key demographic that could be better engaged with frozen pizza sales. This age group currently buys less frozen pizza than other groups.

To increase sales among the 19-24 demographic, we recommend the following strategies:

i. Student Discounts:

Offer special promotions for students, such as discounts on frozen pizza with a student ID, or through partnerships with universities or local stores near campuses. Discount codes could also be distributed via university newsletters, student apps, or social media platforms targeting students.

ii. Partnerships with University Dining Services or Nearby Retailers:

We can consider collaborating with university dining halls to offer frozen pizza in meal plans or as a takeaway option for students. For retail stores near campuses, we may offer student-specific promotions on frozen pizzas, particularly during exam periods when students are likely to seek out convenient meals.

iii. Bundling for Affordability:

As students tend to be price-sensitive, we can offer affordable meal deals or bundles that include frozen pizza with other student-friendly products (e.g., snacks, energy drinks, soft drinks). These bundles could be marketed as study fuel or late-night snacks to appeal to the younger buyers.

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Conclusions

Our goal was to find ways to increase frozen pizza sales. We did this is a number of key ways. Research was done into investigating how frozen pizza was purchased, such as the dates and times of when such purchased occurred. We also researched the demographics of frozen pizza buyers with respect to age and household. We also looked into hat other products consumers purchased their pizza with.

Our Key Insights:

  • We found that most consumers purchase their pizza during the weekends except the 19-24 age group.
  • We found that frozen pizza sales are consistent throughout the year.
  • The 19-24 Age group - although it does not buy the most frozen pizza - it buys the most per person
  • The most common items purchased along with frozen pizza are items such as Frozen Meets, Soft Drinks, Cheese, and various snack products
  • Younger Frozen Pizza Buyers are far less likely to buy frozen pizza products like cheap frozen pizzas or pizza sandwiches (calzones) than older demographics

Recommendations

  1. Increase Weekday Sales
    • Sales are currently lowest between Mondays and Wednesdays
    • Focus on promotional campaigns and offering coupons to those who shop on these days
    • Offer cross-promotions w/other products popular with Frozen Pizza Buyers such as SOft Drinks, offering a discount for combined purchases
  2. Target 19-24 year olds
    • they are only age group that doesn’t favor weekend shopping
    • They have the highest average pizza sales per person
    • Distribute discounts at local Universities or w/proof of a valid student ID
    • Sell affordable meal/snack bundles to appeal to price-sensitive young buyers

By implementing these strategies, Regork can optimize its frozen pizza sales, enhance customer experience, and drive overall growth in this key product category.

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Limitations

  • Our data was only taken over one year, there is a potential for our insights to no longer hold true in different years. Data taken over a multi-year period could solve this.
  • Since 19-24 year olds are already spending more than other age groups on pizza and they have less disposable income, there is a possibility that they are reaching a limit on how much their purchasing can be increased
  • We know what products are purchased alongside frozen pizza, but we do not have data on what they are pairing their frozen pizza meal with. It is unlikely that the most-purchased product alongside frozen pizza (meat dinners) is being eaten at the same meal. Surveys would have to be conducted in order to find this relationship

Works Cited

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Works Cited

[1] “Frozen Pizza Market Dynamics & Key Player Profiles.” Dynamics & Key Player Profiles [2032], imarc, 2024, www.imarcgroup.com/frozen-pizza-market.